The Pakistan Credit Rating Agency Limited
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Wajeeha Asghar

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PACRA Maintains Stability Rating of Lakson Islamic Money Market Fund

Rating Type Stability Rating
(06-Mar-23 )
(06-Sep-22 )
Action Maintain Initial
Long Term AA(f) AA(f)
Short Term - -
Outlook Stable Stable
Rating Watch - -

Lakson Islamic Money Market Fund (or the 'Fund') is a low-risk profile fund. The assigned rating rating reflects the Fund's low credit risk profile emanating from the fund's investment policy to invest in strong credit quality investment avenues with sound liquidity. The Fund remain compliant with the given criteria of investing at least 25% in triple AAA rated avenues. In Fact, the Fund had invested ~92.8% in cash majority in triple AAA rated bank, ~6.25% in corporate sukuks rated AA whereas ~1% in others, in the end Dec’22. The duration and the WAM of the Fund stood at 2-days, limiting the exposure to interest rate and credit risk. The unit holding pattern of top 10 investors concentration of the Fund stood at 94% at the end Dec'22.
Going forward, the Fund strategy represents high liquidity and low risk profile, which bodes well to the rating. this would remain imperative to the rating. Any breach of investment policy is considered negative.

About the Entity
Lakson Investments Limited, the investment management company of the Lakson Group, was incorporated on January 02, 2009, as an unlisted public company. It is licensed to undertake Asset Management, Investment Advisory and Private Fund Management services. Lakson Investments is the only AMC, which offers exposure to international markets through Lakson Asset Allocation Developed Markets Fund. The Company is also managing a private equity and venture capital fund along with mutual funds and SMA products. Mr. Babar Ali Lakhani, CEO of the company, over 19 years of investment and portfolio management experience in domestic and international equity and fixed income markets.
The company’s control vests in a six-member board, comprising three non-executives, one executive, and two independent directors. The Chairman of the Lakson Group, Mr. Iqbal Ali Lakhani, is the chairman of Lakson Investment’s board. The total asset under management of the company stood at ~114bln in the end Dec'22

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